Corporate Presentation

December 2013

1

Strategy and Operations

2

0

100

200

300

400

500

0

1.000

2.000

3.000

4.000

5.000

6.000

7.000

8.000

2008 2009 2010 2011 2012

Fo

rth

net

reve

nu

e (

Mill

ion

s)

Ma

rke

t R

eve

nu

e (

Mill

ion

s)

Market revenue evolution

Total Fixed Telco, Mobile and Pay TV market revenue

Forthnet revenue

• In a challenging macroeconomic and competitive environment Forthnet managed to

outperform

4,7%

5,2%

6,4%

7,1% 7,6%

0%

1%

2%

3%

4%

5%

6%

7%

8%

2008 2009 2010 2011 2012

Forthnet value share

+2.9pp

-29%

+16%

Market revenue declined

Forthnet outperformed

Market environment

3

unique households (~19% of total Greek Households) 778k

households with

3Play services 252k

9 months revenues 287m

Shops all over Greece 130

km of fibre optic network 5.8k

20k SMEs and Corporate accounts

Broadband and

Pay TV subscriptions 1.03m

#1 in 3Play market

#1 in PayTV

#2 in Broadband

#1 in LLU

Key figures 9M 2013

4

• 3Play bundles have continued to gain ground over the years

• The share of 3Play bundles has increased by two percentage points since December 2011,

and 10% since autumn 2007

Source: E-COMMUNICATIONS HOUSEHOLD SURVEY, Special Eurobarometer 396, European Commision

• Double play has peaked and

is actually decreasing

• 3Play is growing fast and is

the most important driver

in PayTV and Telco market

• Quad play is still at a very

early stage

International market trends

5

• 3Play growth boost both Pay TV and Broadband LLU markets

327 285 263 247 231

83 185 223 302

559 410

470 485

549

790

0

100

200

300

400

500

600

700

800

900

2009 2010 2011 2012 2013(estimation)

Th

ou

sa

nd

s

Pay TV subs per service

Standalone Pay TV 3Play Total Pay TV

83

185 223

302 559

1.917

2.253 2.464

2.689 2.900

0

500

1.000

1.500

2.000

2.500

3.000

3.500

2009 2010 2011 2012 2013(estimation)

Th

ou

sa

nd

s

BB subs per service

Standalone Broadband 3Play Total Broadband

Greek market impact of 3Play

6

• Addresses the needs of Greek Households for quality entertainment and

communication at an affordable price

• Higher ARPU

• Higher Contribution

Profit

• Lower Churn

than 2play (and combo*

products)

Nova 3Play proposition

7

* Fixed voice, Fixed Broadband and

Mobile voice

• Add-ons are customizable to each Household needs

• Offer significant margin uplift

Nova 3Play can

be combined

with Add-ons

VAS

Unlimited

Mobiles

VDSL Price 10€ Price 10€ Price 15€

Price 5€ Price 15€ Price 19,9€

Nova 3Play add-ons

8

Nova operates the most

comprehensive and the first multi-

channel television service in Greece

with:

• 250+ channels

• 14 Sport channels

• 5 Premium movies channels

• 8 High Definition channels

• First 3D channel in Greece

• Total of 360.000+ hours of linear

program per year

• On demand premier movies

• Hundreds hours of live shows

Content / Multichannel offering

9

Both major European soccer events exclusively

until 2015

Increased games share from 2012

Euroleague until 2017. The most acclaimed Basketball organization with the

participation of Greek teams

Βasket League and Volley League until 2016

Wimbledon, Argentinian League

Major Gulf tournaments, Powerboat, extreme sports

UEFA Champions

League/UEFA &

Europa League

Other Top Events

All games of the Greek Soccer League exclusively

on NOVA until 2017 Greek Football

Superleague

Content / Premium sports

10

Established Studio Relationships

Key TV Rights

Comprehensive Coverage of all Major Studios

Targeted Approach for Popular TV Series Broad Portfolio of Thematic Channels

• Selective acquisitions of

the top paytv drama series

• 1st on TV in Greece,

premier right after USA

• Strong performers The

Game of the Thrones,

Mentalist, NCIS, THE

FOLLOWING, Person of

interest, Burn Notice,

Boardwalk Empire

• All series subtitled

• Hollywood premiers first

on NOVA.

• Output deals with majors

including premiers and

selective library titles

Content / Thematic & premium movies

11

Exclusive 3D content

Live TV at any device /

anywhere / anytime

Nova on demand Nova Επίγεια

54,3 72,1

148,5

0

50

100

150

200

2011 2012 9M 2013

Th

ou

sa

nd

s

HD subs take up

Added value services

12

HotBird Satellite Coverage DTH

100% national coverage

Company currently leases 5 HotBird transponders from Eutelsat (4 from 01/01/2014 onwards)

DTT

Network

2 DVB-T channels

Premium Content offering (sport and movies)

79% population coverage

Content Production

HD broadcast infrastructure

HD production studios, editing, graphics and recording facilities

HD multi-channel play-out, monitoring and continuing rooms

HD live coverage of sports events

Latest generation tapeless technology

OTT facilities to Mobile platforms

VOD platform

Transmission

Facilities

Five digital Multiplexers with uplinks to HotBird Satellite

DTH distribution to Greece and Cyprus

Optimized picture quality with latest MPEG, statistical multiplex technology

IP and MPEG-4 infrastructure

Irdeto conditional access

24/7 monitoring and network management

Uplink Facility

Infrastructure / Pay TV network

13

Telecom backhaul and international connectivity • C.5,820km fibre optic MAN, and WAN

infrastructure

• 495 physical and remote collocations to OTE’s

local exchanges for providing LLU services,

covering Athens, Thessaloniki and the majority of

other cities & villages throughout the Greek

territory

• 94% of active customers are served from private

network

• 76% LLU coverage of total active local loops

• 100% population coverage through SAT BB

• ~10% of active loops can be served with own

VDSL infrastructure

• 100G international connectivity. Direct IP peering at

Amsterdam, Frankfurt & Sofia exchanges & (AMS-

IX, DE-CIX, BIX)

• Proprietary network allows high-speed broadband

and telephony as well as further services in the

future

Athens

Sophia

10 GE

20GE

10GE

10GE

10GE

Frankfurt

30 GE

10GE

Infrastructure / Telco network

14

100% Nationwide Coverage

Supported services (Broadband – Pay TV –

Satellite Internet – Swap point)

Technical Assistance Network No of Points No of technicians

EXCLUSIVE 291 468

SWAP 127

Forthnet Call Centre

• Unified Call Centre

• 500 full-time employees equivalent

Customer Service

15

Company promotes its services through more

than 900 points of presence nationwide

• 130 shops

• covering Athens, Thessaloniki and all major

cities (60 in total)

• selling all product & services of Forthnet in

combination with other technology products

and entertainment tickets.

• bill payments

• 350.000+ visitors per month

• 6 retail chain stores, including the large and well

known retailers (plaisio, kotsovolos, mediamarkt,

ilektroniki etc)

• 550 resellers throughout Greece, includes more

than 250 authorized partners / nova technicians)

• Extrernal call centers

Distribution channels

16

Retail Market

2play 3play Telephony TV

Internet, Telephony and TV,

29.9€ / Month

• Nova 3play plus add-ons

• Nova 3play fLLU

New services!

Forthnet 2play unlimited

• unlimited Fixed + mobile

• unlimited Fixed

• unlimited On net

Telephony

Forthnet Telephony unlimited

• unlimited Fixed + mobile

• unlimited Fixed

• unlimited On net

TV

• FLLU pack

• Sports pack

• Cinema pack

• Start pack

Professional

services for SMEs

Corporate

services

Internet & Telephony

• Forthnet Professional

TV

• Public & Private view

Bundle services

Data services

• MPLS VPN, ILL, Forthnet

Leased Lines

Datacenter services

• Collocation, Dedicated,

Streaming

Fixed Telephony

• Forthnet my link

Intelligence Networks

• Forthnet 800 & Forthnet 801

SMEs & Corporate Market

Cloud services

• Forthnet domain name,

emails, web hosting,

SasS hosting, SSL

Advertising

Advertising on

Pay TV platform

Advertising

Advertising on

Pay TV platform

Wide range product portfolio

17

KPIs and financial

performance

18

• 1M total subscriptions at the end of September – an all time high

339 383 394 403 358

25

100 135 162 252

325

280 257 235 168

715

863 920

962 1.030

-100

100

300

500

700

900

1.100

2009 2010 2011 2012 2013 Q3

Th

ou

sa

nd

s

Forthnet Unique subs in Greece

Standalone Broadband subs 3Play subs Standalone Pay TV subs

Total Households Total subscriptions in Greece

All time

high in Pay

TV subs

(420K)

Growing customer base

19

Subs = subscribers

• Nova 3Play demand accelerated in Q3 13 with record net adds increasing Telecom and

Pay TV customer base

3,6%

13,1%

17,1%

20,3%

32,4%

0%

5%

10%

15%

20%

25%

30%

35%

0

50

100

150

200

250

300

2009 2010 2011 2012 2013 Q3

Thousands

Nova 3Play HH evolution

Nova 3Play Households

Forthnet's Households with Nova 3Play Services (%)

0,6%

2,4%

3,2%

3,8%

5,9%

0%

1%

2%

3%

4%

5%

6%

7%

2009 2010 2011 2012 2013 Q3

Nova 3Play as % of Total Greek HH

3Play customer base evolution

20

• Forthnet’s LLU net additions market share in Q3 13 at 183% and overall LLU market

share at 30.7%

28,3%

28,6%

29,6% 29,7%

30,7%

28%

29%

29%

30%

30%

31%

31%

Q3 2012 Q4 2012 Q1 2013 Q2 2013 Q3 2013

Forthnet’s LLU market share

Forthnet LLU market share

4,8

40,7

32,7

21,4

11,9

-0,5

17,1

28,0

7,9

21,8

-5

0

5

10

15

20

25

30

35

40

45

Q3 2012 Q4 2012 Q1 2013 Q2 2013 Q3 2013

Th

ou

sa

nd

s

LLU market vs. Forthnet net adds

Market LLU net adds Forthnet LLU net adds

+2.4pp

Forthnet’s LLU market share

21

• Revenue for 9M 2013 was lower against 9M 2012 mainly impacted by pricing pressure, a result of

the adverse macro environment and strong competition, and by MTRs drop in corporate

• Company’s successful revenue diversification strategy continues (i.e. advertising and SMEs)

237,9

38,0

10,1 6,7

223,2

30,9 12,0 7,1

-30

20

70

120

170

220

270

Telco & Pay TVRetail

TelcoCorporate

Pay TVBusiness

Advertising

Total Retail, Telco business, Pay TV business and Advertising

9M 2012 9M 2013

306,6 287,4

0

50

100

150

200

250

300

350

9M 2012 9M 2013

Total Revenue

In M

illio

ns

In M

illio

ns

Revenue preservation & diversification

22

• The increased Nova 3Play customer base is starting to impact Retail Revenue with Q3

showing the lowest revenue decline for the year so far

76,3 75,6 73,1 73,3

-7,8%

-8,9%

-7,3%

-3,6%

-10%

-9%

-8%

-7%

-6%

-5%

-4%

-3%

-2%

-1%

0%

0

10

20

30

40

50

60

70

80

90

Q4 2012 Q1 2013 Q2 2013 Q3 2013

Mil

lio

ns

Retail revenue change y-o-y

Revenue Total retail Total Retail revenue y-o-y change

Revenue trends in retail segment

23

11,4

9,7

4

5

6

7

8

9

10

11

12

9M 2012 9M 2013

Milli

on

s

Advertising and promotion

32,6

30,3

20

22

24

26

28

30

32

34

9M 2012 9M 2013

Mil

lio

ns

Payroll and related costs

44,3

42,9

30

32

34

36

38

40

42

44

46

9M 2012 9M 2013

Milli

on

s

Sundry expenses

• The company is continuously optimizing its cost structure (i.e. 10,5% payroll cost of

total revenue). Furthermore, a reduction in the cost of transmission is expected from

2014 due to legacy Pay TV decoders swap.

Cost optimization

24

• Increased customer acquisition, pricing pressure as was as the cost of swapping previous

generation PayTV decoders, lead to a decrease in EBITDA compared to 9M 2012

In M

illio

ns

In M

illio

ns

* One-off and Non cash adjustments

56,3 50,0

18,4% 17,5%

0%

2%

4%

6%

8%

10%

12%

14%

16%

18%

20%

0

10

20

30

40

50

60

9M 2012 9M 2013

Adjusted EBITDA*

Adjusted EBITDA* Adjusted EBITDA margin

42,8 41,3

0

5

10

15

20

25

30

35

40

45

9M 2012 9M 2013

Reported EBITDA

Operational profitability

25

Recent Developments

• Successful 3play launch

• Continued cost optimization

• Sport rights expansion with focus on local content – Super League up to 2017

– Euroleague up to 2017

– Basket League up to 2016

– Volley League up to 2016

• Replacements of older generation of decoders

Next Steps

• Capital increase

• Continue 3play growth

• Innovation (novago, Cloud, HotSpots, Nova 3Play SAT etc.)

• Refinancing of existing debt

Highlights

26

• 15 new shares for every 2 existing

• 97,144,575 new shares

• Issue price of 0.30€

• Total amount to be raised up to 29.1m

• Rights Trading Period 10-17 December

• Subscription Period 10-24 December

Capital Increase

27

Thank You for Your

Attention

www.forthnet.gr

28